Commercial Real Estate Briefs

By Business Observer Staff
| 6:00 p.m. February 2, 2008
| 2 Free Articles Remaining!

Charlotte–Lee–Collier

by Sean Roth | Real Estate Editor

LEE-COLLIER

Attorney, citrus broker buy grove

BUYER: Keystone Grove LLC (principals: Darol Carr and George Winslow), Punta Gorda

SELLER: Coral Creek Limited Liability Co.

PROPERTY: 21601 Carter Road, 21000 TPI Road and additional vacant land, Estero

PRICE: $5.32 million

PREVIOUS PRICE: $6.34 million, February 2005; $7.39 million, March 2005; and $3.7 million, July 2003 (contains multiple parcels)

LAW FIRM ON DEED: Thomas K. Boardman PA, Immokalee

PLANS, DESCRIPTION: Punta Gorda attorney Darol Carr, of Farr Farr Emerich Hackett & Carr PA, and George Winslow of agricultural brokerage/management firm Gulf Citrus Properties Inc. purchased 371 acres on the west side of Corkscrew Road near the intersection with Carter Road for $5.32 million. The property was adjacent to 200 acres of vacant land the same group owns north of the recently purchased property. The majority - 331 acres - of the 371 acres property was a citrus grove.

"This gives us the opportunity to expand the grove if we decide to," says Sabrina Maldonado, office manager for Gulf Citrus. "We're going to hold [the vacant land] to see what the real estate market does."

The purchase entity Keystone Grove LLC mortgaged the property to Metropolitan Life Insurance Co. for $5.3 million.

Entrepreneurs redevelop

Admiral Lehigh resort

BUYER: Admiral Lehigh Land Investment LLC (principals: Jon Kunz, J. Glenn Fury, Melissa Delacruz and Robert Zielinski), Lehigh Acres

SELLER: Greentree Admiral LLC

PROPERTY: 225 Joel Blvd., Lehigh Acres

PRICE: $2.65 million

PREVIOUS PRICE: $6.3 million, May 2006 (contains multiple parcels)

LAW FIRM ON DEED: Duncan & Tardif PA, Fort Myers

PLANS, DESCRIPTION: An investment group purchased the Admiral Lehigh Golf Resort north of Country Club Parkway for $2.65 million.

The group is made up of Jon Kunz and J. Glenn Fury of Caloosa Cooling Air Conditioning and Pool Heating; Melissa and Lupe Delacruz of Delacruz Properties and Delacruz Drywall, Plastering and Stucco Inc.; and Robert Zielinski of A to Z Masonry;

The new owners expect to demolish the hotel and restaurant in the next 30 to 60 days, according to Kunz. The property did not include the golf course, which Kunz says was purchased separately by a nearby timeshare complex.

"We're planning to develop retail and office space with a restaurant, courtyard amphitheater and three outparcels," Kunz says. "We haven't designated how much of the total square footage will be used for any particular use, but it will be 120,000 square feet including outparcels."

Kunz says at this point the developer is planning to have retail on the first floor and office on the second level. David Grist Architect Inc. of Lehigh Acres is designing the project.

The partnership mortgaged the property to Admiral Lehigh Resort LP for a total of $2.8 million.

Company expands to Naples

BUYER: Gagliano Holdings LLC, Clinton Township, Mich.

SELLER: PRS of Naples LLC

PROPERTY: 1851 Pine Ridge Road, Naples

PRICE: $2.5 million

PREVIOUS PRICE: $2,000,000, January 2006

LAW FIRM ON DEED: Goodlette Coleman & Johnson PA, Naples

PLANS, DESCRIPTION: Gagliano Holdings LLC purchased a 12,000-square-foot former motorcycle dealership site on Pine Ridge Road for $2.5 million.

The property was purchased to eventually become Clinton Township, Mich.-based Collex Collision Experts' 13th collision repair facility - its second location in Florida. The new owner plans to renovate the Naples location for an opening towards the middle of the year.

"We opened our first location in Florida in Fort Myers [12791 Metro Parkway] last April," says Michael Molloy, customer service manager for Collex Collision Experts. "It's been really successful. We have plans to grow in Southwest Florida and move on from there."

John Gagliano, president and founder of Collex Collision Experts, owns a home in Naples and has been a frequent visitor to the area for more than 20 years. Gagliano says it was his own experience with car repairs in the local market that made him feel there was a opportunity for his collision repair firm.

"We focus on turnaround time and customer service," Molloy says. "In the Fort Myers location we bought an existing auto body shop. After we added our processes and computer system, we took it from a turnaround time in the teens to 7.1 days on average.

"When you cut the turnaround time in half you save insurance companies money because they don't have to pay for a rental car for that extra time. It's great for us because we can handle more vehicles, and it's obviously better for the owner because they're getting their vehicle back a lot sooner. We also offer a lifetime guarantee on anything that is done in the shop."

Gagliano estimates that if the company's growth rate and market conditions remain the same that it would add another five locations in the region from Tampa to Naples over the next five years.

Gagliano Holdings LLC mortgaged the Naples property to LaSalle Bank Midwest NA for $2 million.

Etc...

• Suffolk Construction was recently awarded $124.3 million in four new construction projects for developments in Boca Raton, Miami, and Punta Gorda. The construction company has been awarded the 1.2 million-square-foot retail The Loop at Punta Gorda; a 10,000-square-foot warehouse for Columbus Networks in Boca Raton; the seven-story Spring Hill Suites hotel in Miami, and two hotels for the Thayer Lodging Group in Miami.

• Showtyme Allstars Inc. leased 4,200 square feet of industrial space at 13850 Treeline Ave. in Fort Myers from Lyndon Investments USA Inc. Bob Johnston, Jerry Messonnier, Derek Bornhorst and Mary Pepin, all of CB Richard Ellis, Fort Myers-Naples represented the landlord, and Laura Fish of Platinum Coast Investment Realty Inc. represented the tenant.

• Christian Television Network has awarded Fort Myers-based J.L. Wallace Inc. a contract to expand and renovate offices for the WRXY television studio on Horseshoe Road in Punta Gorda. J.L. Wallace will renovate the existing 2,000 square feet of office space and expand the current studio by 3,876 square feet. Construction is expected to start in early 2008 with completion in July.

• Naples-based brokerage Downing-Frye Realty Inc. reported it closed sales volume of more than $1.3 billion on 1,972 transactions in 2007. Downing-Frye Realty has seven offices serving Naples, Marco Island and Bonita Springs and about 650 agents.

• Oretse Inc. leased 3,900 square feet of retail space at 10341 Bonita Beach Road S.E., Suite #101 from Quality State Investment LLC. Clint Sherwood of Investment Properties Corp. negotiated the transaction.

• Clark Durpo and Clark Durpo, Jr. purchased an 8,582-square-foot office building at 1707 Cape Coral Parkway, Cape Coral from an undisclosed seller for $1.75 million. Jim Garinger, Andrew Falde, Karen Johnson-Crowther, and Lindsey Schmoyer of Colliers Arnold represented the seller. Dave Ramage of RE/MAX represented the buyer.

• CDA Real Estate, LLC purchased a 10-acre parcel at 11181 Bayshore Road, North Fort Myers from Vijai Ramawad and Fernella Randass for $487,500. Jim Garinger of Colliers Arnold represented the buyer, and Dara Goren of Leffler and Associates represented the seller.

• Strike Zone leased 4,400 square feet of retail space in Pelican Professional Place at 1026-1064 Pine Ridge Road, Naples. The Retail Team of Karen Johnson-Crowther, Charlene Greenblatt, Salli Jones-Doyon, and Lindsey Schmoyer of Colliers Arnold negotiated the transaction.

• Assembly of God Mission Ministry International Corp. leased 2,970 square feet of flex space in Parkway Plaza at 10251 Metro Parkway, Fort Myers from Kuehner Properties LLC. Jim Garinger, CCIM, and Andrew Falde of Colliers Arnold negotiated the transaction.

• High Maintenance Salon & Day Spa leased 2,500 square feet of retail space in The Marina at Cape Harbour at 5781 Cape Harbor Drive, Cape Coral from RealMark. Karen Johnson-Crowther of Colliers Arnold negotiated the transaction.

• Ocean Environments leased 2,400 square feet of retail space in College Plaza at 9131 College Parkway, Fort Myers, from South Pointe, Ltd. The Retail Team of Karen Johnson-Crowther, Charlene Greenblatt, Salli Jones-Doyon, and Lindsey Schmoyer of Colliers Arnold represented the tenant, and Don Gross of LandQwest Commercial represented the landlord.

• Compass Construction, Inc. has started renovation on the Helm Club at The Landings on McGregor Boulevard in Fort Myers. Demolition work is underway and renovation of the existing clubhouse will follow shortly. Improvements include a fully upgraded commercial kitchen, new bar lounge with dance floor, club dining and private dining rooms, meeting rooms, new men's and women's locker rooms, a fitness center and renovated golf and pro shops. The project is phase II of a multi-phase project at the Landings. Phase I renovations to the Wheelhouse at the marina are expected to be complete next month. Phase III will involve an addition to the administrative offices. Total cost for all 3 phases is projected to be $6.9 million.

• Maximum Auto Industry LLC leased 4,230 square feet of office warehouse space at unit 1 at Benchmark Corporate Park Fort Myers from Elevation Way LLC. Todd Holman of Gates D'Alessandro & Woodyard negotiating the transaction.

SARASOTA-MANATEE

Tampa Toyota owner buys Southpointe Motorcars

BUYER: Sarasota Automotive Management LLC (principal: Larry Morgan), Tampa

SELLER: 5151 Clark LLC

PROPERTY: 5141 and 4975 Clark Road, Sarasota

PRICE: $14.4 million

PREVIOUS PRICE: $3.4 million, April 2000 and $1.06 million, March 2001

LAW FIRM ON DEED: Shutts & Bowen LLP, Orlando

PLANS, DESCRIPTION: Tampa-based Morgan Auto Group and Victor Young purchased the Southpointe Motorcars BMW dealership on southern Clark Road west of Honore Avenue from the Urfer family for $14.4 million. Along with the real estate, the partnership purchased the business operations, inventory and right of first refusal for the nearby Southpointe Land Rover dealership for an undisclosed amount.

"I knew that Jack Urfer was contemplating retirement so I got in touch with Jack and we came to an arraignment," says Larry Morgan, owner of Morgan Auto Group with his son Brett. "I think Jack is going to remain involved somewhat in Land Rover. Victor and I are looking at other opportunities pretty much anywhere in the southeast."

The new ownership plans to increase the service center's hours, make some cosmetic change to the facility and create a boutique guest waiting room on the dealership's second level. The dealership is also being renamed BMW Sarasota.

Morgan Auto Group is best known as the owner of the Toyota of Tampa Bay dealership, which moved to a new 22-acre facility on Fletcher Avenue in 2005. The dealership also owns Honda of Ocala and Wade Raulerson Honda and Wade Raulerson Pontiac Buick GMC, both of Gainesville. The dealership group was formerly owned by the Morsani family before the Morgans took over in 2005.

Morgan says his partner Young previously managed a Mercedes-Benz and Infinity dealership in Clearwater.

Tervis Tumbler Co.

busy additional land

BUYER: Tervis Tumbler Co., North Venice

SELLER: Triple Diamond Commerce Plaza LLC

PROPERTY: lots 55 and 56 in Triple Diamond Commerce Plaza on Hostetler Court, Venice

PRICE: $1.65 million

PREVIOUS PRICE: $196,900, July 2001

LAW FIRM ON DEED: Abel Band Chartered, Sarasota

PLANS, DESCRIPTION: North Venice-based insulated drink-ware manufacturer Tervis Tumbler Co. purchased two parcels, totaling six acres, east of its existing 55,000-square-foot plant on Triple Diamond Boulevard for $1.65 million.

"This is really just about tying up property that is adjacent to our plant, because we continue to grow and see that growth continuing," says Laura Spencer, CEO of Tervis Tumbler. "We saw land prices coming down. It really just shows our commitment to staying in the area."

Spencer says the company will be evaluating its future and facilities needs throughout the year. The company's existing facility sits on 6.5 acres.

Tervis Tumbler mortgaged the property to Bank of America for $1.6 million.

Benderson sells sites

to Budget Self Storage

BUYER: Corsoto Storage Associates LLC (principal: Starcon Development LLC), Sarasota

SELLER: Ronald Benderson and David Balduf as trustee of the Randall Benderson 1993-1 Trust and WR-1 Associates Ltd.

PROPERTY: Cortez Road and 68th Street West, Bradenton

PRICE: $2.97 million

SELLER: Benderson Properties Inc. and WR-1 Associates Ltd.

PROPERTY: west of the right of way of 68th Street West, Bradenton

PRICE: $525,000

SELLER: Ronald Benderson and David Balduf as trustees of the Randall Benderson 1993-1 Trust

PROPERTY: 4.6 acres, the southwest corner of the intersection of U.S. Highway 301 (Washington Boulevard) and Desoto Road, Sarasota

PRICE: $2.1 million

SELLER: Benderson Properties Inc.

PROPERTY: 880 DeSoto Road, Sarasota

PRICE: $797,500

BUYER: Corsoto Outparcel Associates LLC

SELLER: Benderson Properties Inc.

PROPERTY: 5445 N. Washington Blvd. Sarasota

PRICE: $302,500

PLANS, DESCRIPTION: Sarasota-based StorCon Development LLC, managed by Richard Bennett and John Dorman of Budget Management/Budget Self Storage, purchased commercial properties in Sarasota and Manatee counties from retail developer Benderson Development Co. Inc. for a total of $6.7 million. Neither Benderson Development officials, Dorman or Bennett returned calls for comment.

According to the Budget Self Storage Web site, that company owns self-storage properties at 1880 Desoto Road, 4029 Bee Ridge Road and 2201 Fruitville Road in Sarasota; 6801 Cortez Road W. and 5305 W. Manatee Ave. in Bradenton; and two locations in Clearwater, one in Fort Myers, three in St. Petersburg and a single facility in Tampa.

Etc...

• Kevin Heiss, an account executive in the Sarasota office of commercial mortgage bank Largo Capital Inc., arranged $11.73 million in first mortgage financing for the owner of a Kohl's Department Store in Jensen Beach. The property is an 89,060-square-foot building and is leased and occupied by Kohl's Corp. under a long-term agreement that started in October. Heiss secured a 10-year interest-only fixed rate loan from a correspondent lender.

• Sarasota's Architura has been selected to complete the architectural build-out of a high-end surf and skate wear store on St. Armand's Circle. Working from a design sketch for the new Shore store, Architura completed the space planning and created all of the drawings and specifications to renovate a 6,000-square-foot, two-story space at 465 John Ringling Blvd. on St. Armands Key. The space was formerly occupied by Wyland Gallery, which has relocated nearby.

Renovation of the space is underway, and the store is scheduled to open by the end of February.

TAMPA BAY

CNL, AmStar Group buy Two Harbour Place

BUYER: Amstar/CNL Two Harbour LLC (principals; AmStar-35 LLC and CNL Two Harbour Place Partners LLC), Orlando

SELLER: Beneficial Management Corp. America

PROPERTY: 302 Knights Run Ave., Tampa

PRICE: $32.25 million

PREVIOUS PRICE: $2.75 million, February 1997

LAW FIRM ON DEED: Ruden McClosky Smith Schuster & Russell PA, Tampa

PLANS, DESCRIPTION: As Coffee Talk previewed last month, Orlando-based real estate investment firm CNL Commercial Real Estate and Denver private equity firm AmStar Group LLC purchased the 12-story, 180,000-square-foot Two Harbour Place office building and a six-story parking deck for $32 million.

The high-rise, built in 1998, was designed by The Hillier Group and developed by Beneficial Management Corp. The property is located at the northeast corner of South Harbour Island Boulevard and Knights Run Avenue and features underground access to the 299-room Westin Tampa Harbour Island.

The building is 80% occupied and tenants include Poe Financial Group, OSG America, Gold Standard and the architectural firm Gresham Smith & Partners. The new ownership joint venture will manage and lease the property under the CNL brand name..

The new owners' joint purchase entity, Amstar/CNL Two Harbour LLC, mortgaged the Two Harbour Place to Bank of America for $54.08 million.

CNL Commercial Real Estate is a new strategic business unit of the real estate investment and development firm CNL. CNL has formed or acquired companies with more than $22 billion in assets.

Amstar Group invests in value-add acquisition and development opportunities. The company has acquired, developed and sold more than $2.5 billion of real estate and currently holds a $2 billion portfolio.

Tarpon Springs contractor

buys Family Dollar building

BUYER: Fowler Avenue LLC (principal: Joseph Kokolakis), Tarpon Springs

SELLER: 2 Amigos Realty Partner I LLC

PROPERTY: 11616 N Nebraska Ave, Tampa

PRICE: $1.4 million

PREVIOUS PRICE: $700,000, March 2001

TITLE FIRM ON DEED: North American Title of Tampa Inc., Tampa

PLANS, DESCRIPTION: Joseph Kokolakis, owner of the Tarpon Springs general contractor J. Kokolakis Contracting Inc., purchased a 10,000-square-foot retail building on Nebraska Avenue for $1.4 million. The building is currently leased under a long-term agreement to Family Dollar.

"For me this is an investment," Kokolakis says. "I was working at USF and used to drive by that area everyday. Hopefully that whole area will be rehabilitated sometime soon. It definitely has a lot of traffic."

Landeavor, Walton Street

take over Pulte's Lakeside

BUYER: WSC-L Lakeside Investors V LLC (Walton Acquisition Reoc Holdings V LLC), Chicago

SELLER: Pulte Home Corp.

PROPERTY: 13324 Hudson Ave, and additional land, Hudson

PRICE: $10.63 million

LAW FIRM ON DEED: Hill Ward Henderson, Tampa

PLANS, DESCRIPTION: WSC-L Lakeside Investors V LLC, a joint venture of Tampa-based land developer Landeavor LLC, and Chicago real-estate investment firm Walton Street Capital LLC, purchased the 438-acre Lakeside community in Hudson from Pulte Homes for $10.63 million or $24,258 an acre.

The Lakeside community, located off State Road 52 near the intersection of Hayes Road and Hudson Avenue, was designed to feature 855 homesites in a mixture of single-family and attached structures. Units were projected to range from the mid-$100,000 up to the $400,000s. Landeavor will act as the operating partner for the new joint venture, while Walton Street Capital is expected to take a more hands off investment approach as the financial backer.

Landeavor officials report the company is evaluating the market to establish the mix of housing products and builders. Pulte Homes will continue to operate in Lakeside. The current phases of the community calls for duplex villas of 1,500-square-foot units.

Adam Lorry, managing principal for Landeavor, described the property as a successful community, whose sale granted Pulte the cash it needed for its "current business strategies."

Landeavor LLC was created in 2007 by two former Terrabrook executives: David Frame and Lorry, to be a land development and investment platform for Walton Street Capital. The company plans to focus on master-planned and residential and resort properties in the United States and the Caribbean. Frame was chief operating officer of the master-planned developer Terrabrook from 1997 to November 2003. Lorry served a director at Terrabrook and later assumed the COO position until December 2006.

Through its series of funds, Walton Street Capital has invested more than $3 billion and currently has about $9.6 billion worth of worldwide real estate under management.

D.E. Shaw Group buys 9,300 homesites

An entity in the D. E. Shaw group, a global investment management firm, and an affiliate of Tampa-based Metro Development Group have joined to create a joint venture with up to $250 million in equity set aside to buy and develop land throughout central Florida and the Southeast.

The joint venture will focus on acquiring land that is already entitled to develop homesites and residential communities for builders of entry-level homes.

"This infusion of capital will allow us to fulfill our short- and long-range goals of acquiring land worth from $500 million to $700 million in great locations that can produce large numbers of homesites quickly once the housing market rebounds," said John Ryan, CEO of Metro Development Group, in a press release. "In real estate, location is everything, and this financial alliance with the D. E. Shaw group allows us to locate Metro Development in the right place at the right time for the mutual benefit of both companies."

The joint venture recently closed its first acquisition when it acquired 8,300 homesites in seven Florida counties, then purchased 1,000 additional homesites in southern Hillsborough County. The joint venture is expected to complete all its acquisitions in 18 months.

Metro Development Group, the five-year-old development firm, also is looking for opportunities in the Carolinas, and Texas. The company has been involved in developing nearly 60 communities throughout central Florida. Last year, the company generated sales of nearly $200 million. It currently owns or controls more than 30,000 homesites.

Etc...

• Clearwater-based Creative Contractors was selected by VOCA Realty Inc. as the design-build contractor for the new Pediatric Surgery Center on State Road 54 in Odessa. When the $4.3 million building is finished it will likely be the largest freestanding pediatric surgery center in Pasco County.

The 18,000-square-foot building will contain an ambulatory surgery center and medical office building includes operating rooms, nurse stations, exam rooms, a lobby and administrative spaces. The facility is scheduled for completion in the summer.

• James Crawford purchased an 18.4-acre parcel of industrial land at 47th Terrace and 24th Street in Bradenton from Burnett Trust for $2.72 million. Dennis Bush of Colliers Arnold represented the buyer, and Bill Blalock of Wyman, Green & Blalock Real Estate Inc. represented the seller.

• Office Depot leased 20,898 square feet of retail space in Nature Coast Commons at U.S. 19 and Spring Hill Drive in Spring Hill from Opus South Corp. Jim Kovacs and Lisa McCaffrey of Colliers Arnold negotiated the transaction.

• SunTrust Bank leased 1.1 acres of land from Capri Development LLC and constructed a 4,895-square-foot building at the southeast corner of Bloomingdale Avenue and Providence Road in Brandon. Hal Colbert of Colliers Arnold represented the tenant.

• Hands On Video Relay Services, Inc. leased 4,211 square feet of office space in One MetroCenter at 4010 Boy Scout Blvd., Tampa from Metropolitan Life Insurance Co. Claire Calzon of Colliers Arnold represented the tenant, and Angella Odell and Emily Ingerick of Taylor & Mathis represented the landlord.

• For the sixth consecutive year, the Tampa home inspection services company, Pillar To Post Inc, has been named number one in the Home Inspection category by Entrepreneur Magazine's 29th Annual Franchise 500 issue. Overall Pillar To Post ranked 143rd in the Entrepreneur 500 list.

• Developer Opus South Development LLC is scheduled to open 400 Beach Drive, a 29-story, 93-unit condominium in downtown St. Petersburg, on Feb. 6. Smith & Associates Real Estate Inc. is the realtor for the development. The building also features 23,500 square feet of retail space and restaurants at street level as well as a 33,000-square-foot fourth-flour activity and pool deck.